My wife and I have used the Costco American Express card for the last few years. Overall it has worked well, although we are not going to be able to use it much longer, since Costco and American Express are parting ways. One great benefit of this card is that it does come free with a Costco membership (as opposed to most American Express cards that charge a yearly fee to use them). On top of that, this card is the only one that we can use at Costco (since they currently don't take Visa, Mastercard, or Discover). Having a credit card that works at Costco is very helpful, since we don't need to take cash with us or have a lot of money in our checking account if we want to make a large, unexpected purchase when we go to Costco. Another great benefit of this card is the cash back that they offer. They offer 1% back on all purchases and higher percentages on particular categories (such as three percent on gas purchases and two percent on restaurant purchases). These purchases are available all year around, as opposed to some credit cards that offer higher percentages for only part of the year in a given category.
Great card for all your needs!
Costco's TrueEarnings Amex is a versatile card: it earns you 3% on gas, 2% on restaurants and travel and 1% elsewhere. It's true that, for each of those categories, you can find slightly stronger rewards rates with some other cards - we discuss some below - but we still recommend this one because this card's rewards are so well-rounded. And, with a Costco membership, there's no annual fee.
For gas, the TrueEarnings is a strong card for most Costco members. The wholesaler's gas happens to be among the cheapest options out there; you also happen to need an Amex to pay with credit anywhere on Costco premises, and this card is a fine choice.
The gas-rewards cap isn't ideal - only your first $4,000 in annual spending is eligible for that full 3% - but for most it won't be a problem. To hit that cap, you'd have to spend about $76 on gas a week, but the average American spends just $51.
Travel benefits are decent, too. You'll earn that 2% specifically on airfare, hotel rooms, car rentals, cruise lines, travel agencies, tour operators and purchases from Costco Travel - a broad swath of items.
You can redeem only at the end of each year, when Costco mails you a coupon, can you redeem all that cash back.
Your rewards expire, too, so set your calendars: on August 31 every year, your annual rewards coupon will expire. Before then, you have to redeem for Costco merchandise. You can redeem for cash, too, but you'll have to visit your local Costco to do it.
Alternative cards for Costco shoppers, drivers and foodies
But if you're still not satisfied and you're able to open a business account, you might, instead, consider their Amex Costco Business card, which offers beefier rewards: on gas, you'll get 4% back - not just 3% - and you're capped after $7,000 of spending - not just $3,000.
If you're not eligible for a business account and you're looking to squeeze a little more out of your cards still, we can recommend a couple supplementary cards. For gas rewards, check out the PenFed Visa Platinum. You'll earn 5% on gas - no cap! - and 0.025% elsewhere. That latter rate is paltry, so you'll want to use this card exclusively for gas. And with no annual fee, there's no cost to carrying the PenFed Platinum.
For fine dining, you'll have a tougher time finding a high-rewards card. When it comes to food, most card companies are more inclined to give you rewards on grocery stories. It's true there used to be a contender for Best Dining Rewards - the Citi Forward - but it's since been discontinued. You might check out the Chase Freedom instead. It's rewards categories do rotate, but dining is often one of them, for at least a quarter, or 3 months a year.
TRIED AND TRUE
I have been a Costco member for almost two decades, and in that time have alternated between two types of membership (Business and Executive), depending on the ebbs and flows of the economy and the profits from my tiny home business that supplements our variable household income. For the Costco Business American Express Card, I pay an annual $55 membership fee, which completely pays itself off and more by the end of each year, always providing access to Costco's unbeatable prices, quality goods, and gasoline (which is almost always lower in price per gallon than surrounding gas stations). When I used to have the Executive membership for $110, again, it never failed to pay itself off well before the year's end, while yielding even more discounts, benefits, and cash back (which comes in the form of an annual check to be redeemed at Costco). I remain an avid Costco member, and have found that both Costco and American Express always handle my needs or concerns with the utmost professional customer service.
I have neither compared nor paid attention to the rates of this card, since I pay it in full monthly.
get one today.
Who does not have a Costco credit card? I am sure everyone who has a Costco nearby has one. Everyone likes to save money especially on things which you use on daily basis. I love to save money, let it be a dollar or more. It feels different when we are allowed in a big store only if we have it's membership. It makes the shopping experience all the more different and unique. And do I need to mention the savings we get on this card. Costco is member exclusive whole sale shopping stop, and only members save here. You get points for shopping both in store and at the Gas station. The $55-$60 membership is worth it. in addition to saving dollars, you get some cash back depending on the points earned throughout the year. For me, I love this card. It helps me save enough money. If you are a big family, this card is a hit, you may get more cash back than the actual membership fees. If you have a Costco nearby and you are not a member then you are definitely missing something.
Love American Express
They have saved me twice from fraudulent charges. Somehow some way someone has stole our information and American Express has done all they could to make it stress free for us in every way. They took the charges off and never once made me feel bad about it or that it was my fault. First time was from Wal-Mart, and they were no help what so ever. I managed to stop the shipment from Fed Ex an saved both myself and American Express the hassle of any bad charges, but they were willing to erase the bad charge from the very beginning. Also very grateful for Fed Ex for believing me and not sending it forward. A $500 camera lens. Second time was for 2 pair of cowboy boots at a cost of $180. This time I was not able to stop the shipment because the company that the order was placed through blocked me from finding out the details until they had delivered the boots. But once again American Express asked no questions or made me feel guilty, they just took the charge off my bill.
The very best customer service there is. So glad they allowed me to have their card. I only use this one card now for everything. I can track all of my purchases through the month and see where every penny goes.
We pay it off every month so there are no rates. Best of all worlds.
Fort Worth, TX
Love Costco, love this card
I love Costco, so we use this card all of the time. I appreciate the cash back bonuses that we use all of the time at Costco. One thing that I always appreciate about American Express is that I feel like they try to work well with us and provide good customer service. We probably use our American Express more than we use any other card. Just recently we used it overseas as well. We felt more secure bringing it overseas to have American Express on our side in case our cards were lost or stolen.
Overall I would say that they have had really good customer service. There have always been times that there are problems with cards and it is really nice to know that you can count on your credit card company to back you up.
I think that our rates are pretty good. We get 2% back on all of our purchases at Costco which is nice. We also use it at other places and sometimes it gives us more cash back when we use it on dining etc. It would be nice if this connected to airline miles as well. We probably use this card more than any other card, so it would be great if it was completely multifaceted.
Our Go-To Card
We are avid Costco fans and loyal customers. I typically do not sign up for retail credit cards but when it comes to Costco, I'm a fan. Like the good Costco deals they have at the warehouse, this is also a good deal.
Their offer is 3% back for gas, 2% back for restaurants, 2% back for travel (hotels, car rental, flights), and 1% on everything else, including Costco.
Plus American Express is now widely accepted. They send out their rewards every February. We just found out that you can just take your rewards check to any Costco and turn it into cash. But the catch is you have to go into a Costco (of course, you can't come out without buying anything!)
Like the warehouse, great customer service. Just call the number on the back of the card. They also have a good online system.
We pay our credit card in full so I'm not familiar with rates. I'm assuming they are good based on Costco and American Express' reputations. No annual fees.
We got this card when we got our Costco Executive Membership. We figured that doubling up on rewards by using our American Express for things like gas was a great idea - and we were right. The rewards for gas and costco shopping add up quickly, and the combination of this and our executive membership more than pay for themselves every year. As a bonus, I don't have to carry a costco card since all of my member information is right on the back. The interest rate is very low and I've never had any problems with my card.
I have had to contact customer service a few times over the years and they've been really easy to deal with every time. When I lost my card, they overnighted me a new one. When I had to change my last name, they were very easy to deal with. The customer service truly lives up to what you would expect from Costco or American Express individually. They make a great team.
The rates are great. In fact, they are less than half of what you get on many "store" branded cards. You really can't beat it.
American Express Costco TrueEarnings Credit Card
We love our Costco American Express Card and have started using it to pay for everything! We LOVE getting the cash back bonus check in the mail in the Spring and use always have a free trip to Costco with all of our rewards. We always pay the card off each month so we don't carry a balance.
We use the card to pay for restaurants, food, ,clothing, all our online purchases and everything in between. And of course we use it to pay for all of our purchases at Costco.
We don't have to use customer service very often but when we do they have always been very helpful. American Express is very on top of things and they will always contact us when there is a big charge on our card or something that looks out of routine from what we usually do. And they are always very helpful when we have a false charge on our card.
I don't really know what that interest rate is on the card because we pay the balance off every month.
This card actually pays back--in cash!
Costco's American Express credit card actually pays me back in cash! I love this card. Not only does it have no annual membership fee, every dollar I spend counts toward points resulting in cash payments. So, everytime I purchas an item from the store or fill my automobile's gas tank, I will receive cash back. The check arrives once a year.
One helpful tip I'll offer those considering this card. It is best to purchase everything with your card. Pay it off each month, so there is no monthly interest payment. Then, when you receive your check, do not use it to make other Costco purchases. Use your credit card to earn more cash back. Easy.
Also, this card is accepted just like any other card. So, I can use it everywhere.
Not that I have many issues, but when I do, customer service is very receptive. The phone wait time is nothing. The representatives are professional and prompt. Excellent customer service!
The rates vary and are competative just as other card are.
American Express - Costco TrueEarnings Credit Card